By Keith Trivitt | Director, Marketing and Communications
Native ads here, native there, native ads everywhere. That seems to be the prevailing theme of digital marketing nearly halfway through 2013. Native ads — or sponsored stories, or advertorials, or whatever is the trendy buzzword of the day — are all the rage at the moment.
A recent eMarketer report puts some numbers behind all of the hype. According to eMarketer, native ads are providing new ways for marketers to reach target audiences and new avenues of monetization for content sites that are under intense revenue pressure.
But, as we wrote back in February, native ads aren’t without their detractors. Some media and marketing executives are concerned about the potentially negative effects of blurring the lines between content and advertising. Others questions the return on investment of these ads, arguing that native ads cannot scale for multiple placements (we happen to agree on latter).
Despite those concerns, there is no doubt that native advertising has grabbed a significant foothold within the online marketing industry. eMarketer estimates that native ads will generate $4.57 billion in revenue in the U.S. by 2017, up from $1.63 billion in 2012.
So what makes for a great native ad? As my colleague Sultan Riaz wrote last February, a powerful native ad comes down to two crucial factors: a seamless blending with the editorial content and a non-disruptive message that is relevant to the consumer.
Below is an example of native advertising on Twitter.
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By Sultan Riaz | Marketing Coordinator
If you were lucky enough to be on Twitter Monday afternoon, you likely witnessed the aftermath of Burger King’s Twitter account being hacked by the international hacktivist group Anonymous. Some marketing pundits are going so far as call this a “PR disaster.” Hyperbole aside, I agree that Burger King has a big task on its hands to ensure this type of situation never happens again.
That said I don’t foresee the #failurewhopper Twitter hack hurting Burger King’s business or reputation in the long term.
The nuances of the hack have been analyzed over and over, so there is no reason to go into them in this post. (The company has since apologized for the confusion caused by its Twitter account being compromised.) What’s important, however, is to examine what impact, if any, the hack will have on the company’s brand affinity with consumers.
When I first noticed the Burger King account hack the company had about 82,000 followers. A quick glance at BK’s follower count at Twitter, as of noon EST Tuesday (Feb. 19) shows the company has a little more than 112,000 followers. That’s an increase of 30,000 followers in just a few hours. That’s 30,000 new people, both current and potential customers, that the company can now engage, inform and influence through its Twitter account. (more…)
By Maria Fernanda Loreto | Media Planner
Last week, Yahoo! announced it had signed a non-exclusive global agreement with Google to serve contextual ads on Yahoo properties and some co-branded websites. Last time the Silicon Valley giants attempted a strategic partnership, the deal was struck down by antitrust regulators at the U.S. Department of Justice. So, what is different this time?
The answer lies with the mastermind behind the negotiation: Yahoo’s CEO, and ex-Google executive, Marissa Mayer.
This deal is a sign that Mayer’s leadership is starting to have positive outcomes. Rather than contributing to the long-standing rivalry between the two companies she has chosen to build bridges. Her experience and knowledge of Google were key t negotiating this partnership, and will most likely serve as solid foundation for Yahoo to have the success that was not possible back in 2008 when it first attempted a search advertising partnership with Google.
Fast forward to 2013 and Yahoo and Google are tying up on display, as opposed to search. What does this mean for both companies? What does it mean for display advertising? (more…)
By Sultan Riaz | Marketing Coordinator
One of the hottest trends in online marketing is native advertising. While not necessarily a new concept — the relatively old-school advertorial has been around for decades — it has seen a resurgence in the current content marketing era. Recent examples of native advertising can be seen with Google’s paid search results, YouTube’s sponsored videos and, to a lesser extent, trending topics on Twitter.
Content marketing has led to innovative forms of online advertising. With the online user experience key to a successful marketing campaign, this non-disruptive form of online advertising will continue to capture marketers’ addition — and advertising dollars — in 2013.
Native Advertising: The Basics
Native advertising is considered one of the newest forms of online marketing.
According to a September 2012 article in Mashable, the term didn’t take root until famed start-up investor Fred Wilson told an audience at OMMA Global in early 2012 about “native monetization” for Web properties, which he described as ads that were “unique and native to the experience” of a website.
Dan Greenberg, the CEO of Sharethrough, is credited with coining the actual term “native advertising.” Here’s Greenberg’s definition: “Native advertising is a form of media that’s built into the actual visual design and where the ads are part of the content.”
What separates native advertising from the equally hot trend of content marketing is a matter of debate. John LoGioco, SVP and general manager of content at Outbrain, recently told Mashable that the two are pretty much the same. “Native advertising seems to be the thing that most are able to hang on to and get it.”
What Makes for Great Native Ads
At its best, native advertising blends seamlessly with the editorial content of a website while providing content that is valuable to the target audience. Below is an example of native advertising on Twitter.
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By Marc Purtell | Director, SEO
Content marketing isn’t a new or cutting-edge digital marketing practice. But it has evolved into a vital piece of the online marketing puzzle and is capable of impacting other marketing channels, especially SEO.
In today’s arena of social influence on both humans and search engines, developing and promoting content with real value is paramount to success of any digital strategy. For content to generate revenue, it must provide a value to consumer and engage them in conversations.
There are several best practices you should use when creating new content to leverage its potential as a driver of customer acquisition and a catalyst to organic search success.
Step 1: Define the Target Audience
In order to effectively communicate with consumers, it’s important to understand what they are looking for and what is compelling to them. The first step in content development is to perform some consumer research to identify the customer segment the content is targeted to and how it will best be engaged based on its buying patterns. Sites such as MarketResearch.com are a great resource for defining your target audience.
By Marc Purtell | Director, SEO
Yesterday’s announcement by Facebook of its revolutionary new form of search — called Graph Search — has set the online marketing world abuzz with chatter about its impact on search. More specifically, whether Facebook will finally become the Google killer that so many have predicted it will.
While it’s unlikely that Graph Search will ever become a Google killer, the reality is that Facebook has just become a major player in the multi-billion-dollar search business. More importantly to brands and marketers, Facebook offers a bevy of new search and online advertising options that simply aren’t available with Google’s robust but often rudimentary search platform.
In short, Facebook’s Graph Search is just the latest milestone in an ongoing trend of the Web becoming more social. It’s the first true iteration of the social-search era that we at MediaWhiz colleagues previously predicted would come to fruition.
Let’s examine what the news means for the three parties most significantly impacted by the launch of Graph Search: marketers, brands and Facebook itself. (more…)
By Peter Klein | SVP, Media Services
There’s no doubt that performance marketing is a significant force in online marketing, and will continue to grow. What will 2013 have in store for the performance marketing industry? As I see it, there are four key trends that will influence performance marketers’ work in the new year:
1. More brands will invest in performance marketing. The 2012 IAB Internet Advertising Revenue Report indicates that more than two-thirds of all marketing transactions will be paid for on a performance basis. Total U.S. spend on performance marketing will grow by almost $5 billion, to $25 billion in online advertising revenue, versus 2011 spend. This indicates that performance marketing will continue to dominate the online ad-spend model. Brands that consistently miss their online marketing ROI targets will comprise the majority of new spend on performance marketing campaigns, as they seek to take advantage of the industry’s guaranteed results. Traditional agencies will continue to focus on branding for their clients in the digital space, and farm out performance marketing budgets to trusted affiliate networks and marketers.
2. Lead quality and compliance take center stage. As brands continue to invest their marketing dollars in performance marketing, they will place increasing pressure on performance marketers to achieve their investment goals. The SaaS and lead quality product market will blossom. These two dynamic sectors of online markets will help advertisers pay for only top-quality leads, enabling performance marketers to get paid appropriately for such quality. The government will continue to get involved in online marketing regulations, such as Do Not Track legislation, and more states will attempt to pass nexus tax laws. Efforts will likely be minimally intrusive, and the industry will push for self-regulation efforts as a means to limit involvement.
3. Mobile lead-gen has its moment in the sun. Mobile marketing will become a much larger piece of the advertising budget in 2013. eMarketer forecasts 138 million smartphone users in the U.S. next year, comprising 43% of the total population. It will be critical for advertisers to optimize websites and create shorter lead-generation forms with click-to-call for mobile devices. In our “always on” world, consumers need instant gratification from the brands they allow into their online world. Advertisers that provide consumers with access to immediate customer service will win their business.
4. Consolidation of media channels. A larger premium will be placed on internal media sources to provide quality and consistency. As such, the lead-generation industry will see a continued and more aggressive consolidation of affiliate networks. Many affiliates will merge with or acquire one or more of their affiliate media sources. Specifically, many mailers and media buyers will join forces with networks to increase margin, reduce compliance risk and deliver on allocated budget to survive and create a competitive advantage.
By Sultan Riaz | @Riaz_MediaWhiz | Marketing Coordinator
Welcome to The Friday Five, curated reads about marketing, advertising and digital media from the team at @MediaWhizLLC. Read previous Friday Five posts here.
The New Algorithm of Web Marketing | The New York Times
In digital advertising, that formula is being increasingly tested by fast-paced, algorithmic bidding systems that target individual consumers rather than the aggregate audience publishers serve up. In the world of “programmatic buying” technologies, context matters less than tracking those consumers wherever they go.
The Original Social Networker? Your Insurance Agent | Advertising Age
Here’s an interesting thought: your insurance agent may be the most natural social networker you know. Why not? As this Advertising Age op-ed notes, insurance agents were educating clients, investing in long-term relationships and growing their businesses through word-of-mouth referrals long before social, mobile and digital technologies existed.
Online Marketing At The Crossroads Of Nature And Nurture | CMO.com
I’m sure you have been a party to animated debates about nature vs. nurture in the context of psychology. But how about as it relates to customer behavior and marketing? Nature, as I understand it, is the behavior that occurs without coaching. Nurture equates to behaviors that are learned. As marketers, our work falls somewhere between these two–understanding natural shifts in consumer behavior and shaping behaviors to achieve our end goal: engaging and selling to consumers. (more…)
By Sultan Riaz | @Riaz_MediaWhiz | Marketing Coordinator
Welcome to The Friday Five, curated reads about marketing, advertising and digital media from the team at @MediaWhizLLC. Read previous Friday Five posts here.
Google Casts a Big Shadow on Smaller Web Sites | The New York Times
This article in The New York Times caused quite a bit of consternation among digital marketers. It reports that for many small businesses and websites that depend on their ranking in search results, Google’s secret — and frequently fluctuating — search algorithm can evoke a complex blend of admiration and fear.
In Sandy’s Wake: The Cost to Adland | Advertising Age
The effects of Hurricane Sandy will reverberate for weeks as marketers and agencies across more than a dozen states tally storm-related losses and make up for lost business days.
Is mobile-first becoming a cliché? | Mobile Marketer
Mobile-first is becoming a popular phrase that marketers have been using over the past few months. However, few have truly taken the key steps needed, and continue to see the medium as a great add-on instead of necessity. (more…)
By Sultan Riaz | @Riaz_MediaWhiz | Marketing Coordinator
Programmatic buying and premium display advertising were a big a topic of discussion this week at MediaPost’s OMMA Premium Display conference. Keith Trivitt, director of marketing and communications at MediaWhiz, moderated a panel, “Battling The Transformers – Can Media Maintain Its Value Against The New Ad Machine?” which focused on the state of premium display advertising among high-end publishers.
The panel was stacked with an all-star cast of speakers, including:
- Andrew Sollinger, Managing Director, The Americas, Financial Times
- Jason Oates, President, LiveIntent
- Bill Rowley, SVP, Business Development & Publishing, Martini Media
- Kathryn Kulik, Global SVP, Media Sales, CBS Interactive
- Kristine Welker, Chief Revenue Officer, Hearst Magazines Digital Media
Key Takeaways
- Premium display advertising is clearly helping publishers and advertisers adapt to their customers’ needs.
- Programmatic buying will not be completely eliminated from a company’s budget.
- The appropriate balance must be found between publishers using programmatic buying to sell their low-end display inventory and meeting the high end of the premium online advertising market.
- According to the Andrew Sollinger, managing director, The Americas, of the Financial Times, the biggest issue for publishers will be “moving [advertisers] from programmatic to premium.”
- Although ad exchanges and networks are beneficial to high-end publishers, the best way to keep advertisers happy it to focus on what they want; and what they want is premium display advertising that is designed with value to the consumer in mind.
High-end publishers and brands continue to value premium display advertising, even as the sector gets squeezed at the margins.
Here’s a recap of what was a spirited 45-minute discussion about premium display advertising.
Programmatic Buying: Friend or Foe?
While all panelists agreed that programmatic buying is an important, if not vital, aspect of the business, they differed on its impact on the value of premium display advertising. “Custom premium is here to stay,” noted the FT’s Sollinger.
Through the discussion the point being driven is that premium display advertising is focused on the consumer and provides content that both consumers and advertisers want. “Premium display starts with the consumer or it won’t work. Ad experience needs to be built around the customer,” according to Katerine Kulik, global senior vice president of media sales at CBS Interactive’.
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